Fitch: Gol Linhas outlook positive

Fitch Ratings said it affirmed Gol Linhas Aereas Inteligentes SA's foreign- and local-currency long-term issuer default ratings at B+ and long-term national rating at BBB(bra).

The agency also upgraded Gol's $200 million perpetual notes and $200 million senior notes to B+/RR4 from B/RR5.

The outlook was revised to positive from negative.

Ratings reflect the company's significant market share position in the Brazilian airline sector, its comfortable liquidity position and high leverage, the agency said.

Ratings reflect expectation that the company will maintain a competitive cost structure vis a vis the global industry and its significant market share position in the Brazilian airline sector, the agency noted.

Ratings also incorporate the company's exposure to fuel cost volatility and other industry-related risks, such as revenue volatility, high correlation with the domestic economy, high operating leverage and competitive threats, Fitch said.

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